Western Copper and Gold Corp. Nov. 28 announced that after making an initial investment in 2021, Rio Tinto has elected to provide an additional C$6 million (US$4.4 million) to help the company continue advancing Western's world-class Casino project in the Yukon.

In May 2021, Rio Tinto invested C$25.6 million (US$18.9 million) to purchase 11.8 million Western shares at C$2.17 per share, marking a roughly 8% stake in the Yukon-focused copper mine development company's outstanding shares.

Shoring up an additional C$21.3 million (US$15.6 million) investment from Mitsubishi Materials Corp. in March of this year, b Western has now attracted over C$50 million in funding toward the development of the Casino copper-gold project.

For the latest investment, Rio Tinto agreed to subscribe for and purchase 3.5 million shares at a price of C$1.73 per share, raising Rio's stake to nearly 10% in the company.

"We are pleased that Rio Tinto has elected to continue to invest and work with Western to advance the Casino Project, with a focus on furthering infrastructure development and streamlining the regulatory process," said Paul West-Sells, President and CEO.

In parallel with the investment, Western says it will enter into an amended and restated investor rights agreement with Rio. Some of these rights, for a period of the next 18 months from closing, include one member to the Casino Project and Technical and Sustainability Committee; one non-voting observer to attend all meetings of the Western board of directors; one director of Western, if Rio Tinto's ownership increases to at least 12%; and up to three secondees to the Casino project.

Additionally, Rio Tinto will have a right to participate in future equity issuances to maintain its ownership in Western and will be provided with a one-time "demand registration right" and "piggy-back registration rights."

Finally, under the same rights, Rio agreed to vote any shares in favor of each director nominated by the board of Western for election by shareholders; not to acquire any securities of Western, subject to certain conditions; and not to sell, transfer, offer or otherwise dispose of any shares, subject to certain exceptions.

"We are pleased to continue to work with Western to advance the Casino project," said Rio Tinto Copper CEO Bold Baatar.